As digital currency debates rage, several US states are moving forward with exploring a gold-backed state digital currency, regulating bitcoin mining, and addressing legal challenges in the cryptocurrency arena.
Amid ongoing discussions among prominent US politicians regarding central bank digital currencies, Texas is considering a novel approach: a gold-backed state-level digital currency. This pioneering idea has the potential to greatly influence the trajectory of digital currencies.
Digital gold currency in Texas may be coming
Two Texas legislators recently proposed coherent bills calling for the establishment of a statewide gold-backed digital currency. Under the drafted legislation, each unit of the digital currency would correspond to a particular portion of a troy ounce of gold held in trust.
When a specific amount of the digital currency is purchased, the controller would use the funds obtained to purchase an equivalent amount of gold. While neither bill has moved forward or come to a vote, both stipulate that the law will begin on September 1, 2023.
At the same time, a Texas Senate committee passed a bill designed to limit incentives for cryptocurrency miners who operate within the state’s regulatory framework. This legislation is intended to restrict crypto businesses from participating in a program that rewards them for easing pressure on the Texas power grid.
Additionally, starting in September 2023, some crypto mining companies will no longer benefit from state tax breaks for their participation in the program.
Meanwhile, in California, the department of financial protection and innovation stated that Robinhood, a popular stock and cryptocurrency trading platform, is expected to pay more than $10 million in penalties for “operational and technical failures that negatively affected investors.” everyday”.
The settlement comes after a thorough investigation led by the North American Association of Securities Administrators, along with securities regulators from seven states.
Major cryptocurrency exchange Coinbase is backing a new legal initiative to overturn the US Treasury Department’s decision to impose sanctions on cryptocurrency mixer Tornado Cash.
A group of six people, backed by Coinbase, filed the lawsuit, requesting that the US Office of Foreign Assets Control (OFAC) address the first two charges in the initial complaint filed in September 2022.
In a separate development, the Arkansas Congress passed legislation intended to regulate bitcoin mining operations.
The bill, pending the governor’s approval, would ensure that crypto miners receive the same treatment as data centers, prohibiting the government from imposing unique requirements on companies mining digital assets.
The development echoes a recent effort in Montana, where the Senate passed a bill to protect crypto miners in late March.
